The United States is embarking on a large-scale initiative to strengthen its artificial intelligence (AI) infrastructure through a partnership between the government and major tech companies. Announced on Tuesday at the White House, the project—named “Stargate”—will see an initial $100 billion investment, with plans to scale up to $500 billion. The initiative is projected to create 100,000 new jobs in the country.
President Donald Trump was joined by OpenAI CEO Sam Altman, SoftBank CEO Masayoshi Son, and Oracle Chairman Larry Ellison for the announcement. Stargate’s primary goal is to establish cutting-edge data centers and develop the foundational systems required for advanced AI technologies. Construction of the first facility, a one-million-square-foot data center in Texas, is already underway.
The need for significant infrastructure investment has been emphasized by AI leaders, who warn that achieving technological leadership requires massive resources, including computing power, specialized chips, and utilities like electricity and water. According to Altman, ensuring that the United States remains at the forefront of the global AI race is essential for both economic growth and national security.
SoftBank will lead Stargate’s financing, while OpenAI will manage operations. Oracle, a key player in US data center operations, will provide critical support. A fourth partner, MGX, is also contributing funding.
The initiative is being framed as a response to growing competition with China, which has been investing heavily in AI development. A recent OpenAI report emphasized that failure to attract investment could lead to other countries—particularly those aligned with China—gaining a technological and economic edge.
While the Stargate announcement reflects optimism about the future of AI in the US, skeptics have pointed to past large-scale projects that failed to deliver on their promises. For example, a $10 billion electronics factory in Wisconsin, announced in 2017, was scaled back and ultimately repurposed into a different type of facility.
Trump has also reversed a 2023 executive order by his predecessor, Joe Biden, which sought to regulate risks associated with AI development. The new administration’s focus appears to prioritize attracting investments over implementing regulatory safeguards.
